St. Jude Medical sues Muddy Waters over cardiac management devices
Staff Writer |
St. Jude Medical has filed a lawsuit against Muddy Waters Consulting, Muddy Waters Capital, MedSec Holdings, MedSec, and three individual defendants who are principals in these firms.
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The lawsuit is for false statements, false advertising, conspiracy and the related manipulation of the public markets in connection with St. Jude Medical’s implantable cardiac management devices.
With this action, St. Jude Medical seeks to hold these firms and individuals accountable for their false and misleading tactics, to set the record straight about the security of its devices, and to help cardiac patients and their doctors make informed medical decisions about products that enhance and save lives every day.
The lawsuit filed today alleges that Muddy Waters, MedSec and the other defendants intentionally disseminated false and misleading information in order to lower the value of St. Jude Medical’s stock and to wrongfully profit from a drop in share value through a short-selling scheme.
The company’s complaint refers to the Muddy Waters and MedSec repeated false allegations that began on August 25, 2016 about St. Jude Medical’s implantable cardiac devices.
As further explained in the company’s complaint, the defendants’ financially self-interested attempts to mislead doctors and patients demonstrate a total disregard for the patients whose lives depend on their cardiac management devices.
The complaint also cites a third-party assessment of the Muddy Waters Report by University of Michigan researchers who found that “the evidence does not support their conclusions... [the University of Michigan researchers] were able to generate the reported conditions without there being a security issue.â€
In addition, an electrophysiologist and cardiologist from the University of Michigan also stated that “given the significant benefits from home monitoring, patients should continue to use their prescribed cardiac devices†at this time ■